Online food delivery company Foodora facing legal action over alleged underpayment of staff
Updated
Australia's Fair Work Ombudsman has launched legal action against online food delivery giant Foodora, accusing the company of sham contracting and underpayment.
In documents filed in the Federal Court, the ombudsman alleged the delivery service treated three of its delivery drivers as independent contractors when they were in fact employees of the company.
As a result the workers — two from Melbourne and one from Sydney — were underpaid the minimum wage rate, casual loading, penalty rates and public holiday rates.
Foodora is also accused of failing to pay superannuation.
The ombudsman estimated the alleged underpayment cost the three workers a combined total of $1,620.
The ABC contacted Foodora for comment.
More to come.
Topics: work, community-and-society, law-crime-and-justice, australia, melbourne-3000
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